"Last October, due to an early frost, the price of a pumpkin increased by 10 percent compared to the price in the previous Halloween season. As a result, the quantity demanded county-wide decreased from 2 million to 1.5 million"
Based on this statement, it is certain that the A) demand curve for Halloween costumes shifted leftward.
B) price elasticity of demand for pumpkins decreased from its value in previous years.
C) demand curve for pumpkins shifted leftward.
D) total revenue from the sale of pumpkins decreased.
D
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Just after the terrorist attack on September 11, 2001, the Fed stood ready to lend financial institutions funds. When the Fed did this, it was acting in its role of lender of last resort
a. True b. False Indicate whether the statement is true or false
Which of the following is likely in a monopolized market?
a. a price that exceeds marginal cost b. a price that exceeds marginal revenue c. a welfare loss due to the restriction of output d. all of the above
An externality is:
A.) A cost or benefit of a market activity that impacts a third party. B.) The private costs that are borne by an individual. C.) The cost of clean up paid for by the polluter. D.) A situation in which the government solution makes the outcome worse.
Explain what condition must occur for each of the following to occur: (1 ) the capital stock to increase; (2 ) the capital stock to decrease; and (3 ) the capital stock to remain constant
What will be an ideal response?